The 172 million strong consumer market of the CEE-17 region should continue to deliver better growth rates and returns than more developed markets in retail and other sectors according to the “ExCEEding Borders | CEE-17 Retail in the times of the Pandemic” just released by Colliers International
Key findings of the report:
- When comparing the COVID -19 crisis to the recession following the GFC, retail sales have seen a robust V-shaped recovery in a lot of cases
- Labour markets in the CEE region, as well as purchasing power, seem to be in much better shape this time around than a decade ago
- A sharp increase in consumer activity in e-commerce has become a fundamental element of the ongoing transformation of the retail sector
- Across the CEE region, the share of online sales varies quite considerably from early single digits in some countries, up to >18% in the Czech Republic
- There was a 20-45% decline in footfall figures in shopping centres based on the data from the middle of 2020 compared to the corresponding period of 2019.
- There were several up-market brand debuts, including Hugo Boss (Albania), Yves Saint Lauren, Dsquared, Chanel (Czech Republic) and Armani Beauty (Romania).
Bratislava, December 17, 2020 The COVID-19 pandemic has disrupted both the operation and development of retail real estate markets worldwide, as well as in the CEE-17 countries. The Government restrictions imposed on the operation of shops, service outlets, gastronomy, entertainment and leisure, have led to a dynamic growth of e-commerce sales and to changes in consumer behaviour. These have also contributed to a 20-45% (depending on the country) decline in footfall figures in shopping centres, when we compared data from the middle of 2020.